Landlord Insurance from Protect My Let
As a landlord, your rental property is a valuable asset. Protecting it and your tenants is paramount. Landlord insurance from Protect My Let offers comprehensive coverage to safeguard your investment.
Our tailored policies provide protection against a range of risks, including:
- Building damage: Coverage for structural damage due to fire, floods, and other perils.
- Contents insurance: Protection for furnishings and appliances you provide in the rental property.
- Loss of rent: Compensation for lost rental income if your property becomes uninhabitable.
- Alternative accommodation: Coverage for temporary housing for tenants during repairs.
- Liability: Protection against tenant injury or property damage claims.
- Accidental and malicious damage: Coverage for unintentional and deliberate property damage.
- Extended periods of unoccupancy: Protection during vacant periods.
Our expert team will work with you to understand your specific needs and create a policy that fits your property and tenants perfectly. Don’t risk leaving your rental property unprotected. Contact Protect My Let today for a personalised quote.
Understanding the Perils of Underinsurance and Protecting Your Property with Protect My Let
The True Cost of Underinsurance
Underinsurance occurs when your policy’s coverage limit is less than the actual value of a potential claim. For instance, if your property is insured for £200,000 but a fire causes £400,000 in damages, you’re underinsured by 50%. This means the insurer will only pay out £200,000, leaving you with a significant financial shortfall.
Even if you’ve taken precautions like installing fire alarms, underinsurance can still lead to problems. Insurers may reduce payouts proportionally based on the degree of underinsurance, and in some cases, they may void the policy entirely if the underinsurance is deemed intentional.
Understanding the Average Rule
The “average rule” or “average clause” is a common provision in property insurance policies. It states that if a property is underinsured, the insurer may reduce a claim payment proportionally. For example, if a property is insured for 50% of its actual value and a claim arises, the insurer may only cover 50% of the loss.
Why Underinsurance Happens
Several factors can contribute to underinsurance:
Miscalculations: Errors in estimating the property’s value can lead to underinsurance.
Outdated Valuations: Inflation and changes in construction costs can render initial valuations inaccurate.
Insufficient Limits: Policies may have insufficient coverage limits for specific types of losses.
Lack of Professional Advice: Consulting with an unqualified or inexperienced insurance broker can result in inadequate coverage.
Protect Your Property with Protect My Let
At Protect My Let, we understand the unique needs of landlords and offer comprehensive insurance solutions designed to protect your property and financial interests. Our landlord insurance policies provide coverage for a wide range of risks, including:
Property damage: Fire, flood, storm damage, and other physical perils.
Loss of rent: If your property becomes uninhabitable due to damage.
Legal liability: For claims arising from tenant injuries or property damage.
Tenant default: For unpaid rent or damage caused by tenants.
Our experienced team of insurance experts will work with you to assess your specific needs and recommend the most suitable coverage options. We’ll ensure that your policy is tailored to your property and provides the protection you need to avoid the financial consequences of underinsurance.
Reinstatement Cost Assessments (RCAs)
We strongly advise that for any building you own, you organize a professional and regular reinstatement cost assessment (RCA). This may be included in your insurance policy or as an extra, and it can cost as little as £105 + VAT. An RCA provides an accurate valuation of your property, ensuring that your insurance coverage is adequate.
Contact Protect My Let
If you’d like to discuss any aspect of rented property underinsurance or review your current policy, our expert team at Protect My Let is here to help. Contact us today at 01206 655 899 to get a personalised quote and ensure your property is adequately protected.
